An Empirical Analysis Over Knowledge on Financial Products and Investment Choices of Urban and Rural Households
Keywords:
Financial products, Investment preferences, Rural Households, Financial literacyAbstract
For the developing country like India, the household savings of both urban and rural sector has been considered as the major determinants of economic growth, which contributes a lion's share of the total savings of the country with a tremendous savings potential. It is essential to channelize these savings as investments which hopefully thrive towards economic growth. Financial experts believe that increasing domestic savings primarily reduces dependence on foreign capital aid to investment flow, which in turn will drive the economic growth engine. It happens only when the households have enough financial knowledge about available investment avenues to invest their income. Descriptive analyses have done to analyze the awareness level of households on different financial products and their investment preferences. The study covers Tirupur city with a sample size of 60, and the results of the study will help financial service providers found the most and least preferred financial products and to promote financial products and services.
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